The Ramanathapuram District Cooperative Spinning Mill, started exclusively for dalits by former Tamil Nadu chief minister MG Ramachandran in 1982, has remained defunct for the last 10 years. The mill was reopened again at a cost of Rs.28.02 crores. The mill became defunct owing to labor problems and other factors, and based on the suggestions of the South India Textiles Research Association, the mill was modernized and reopened once again. About 200 dalits in the area are now employed with the reopening of the mill.

With an installed capacity of 12,096 spindles, the mills would start commercial production in a month and produce about 3,700 kg of cone yarn and hank yarn per day. The grey yarn would be supplied to the government for distribution to the cooperative societies which produced saris, dhotis and school uniforms for free distribution.

After receipt of funds, in a month’s time, the department would set in motion a revival package and place orders for new machines. The existing machines have become obsolete, the government therefore install modern spinning machinery (long frame automatic machines) to compete with private mills.

The government is also gearing up to modernize five cooperative spinning mills in the district. These mills are presently producing 10,000 to 25,000 spindles a day and the capacity would double after modernization.